FARAON, CHRISTYN JOY R.

BSA – A2A

1. Scarlet has a deposit of P4,500 in the bank. What will be the amount of her deposit in nine
years at 7%?

FV = PV x (1+r)t

7,335

2. Leon, the brother of Scarlet also has a deposit of P4,500 in the bank. What will be the amount
of his deposit in six years at 10% compounded semiannually? FV =

PV x (1+r)t

8,081.35

3. High Land Property Development Corp has a P10,000 note receivable from a customer due in
three years. How much is the note worth today if the interest rate is 12% compounded monthly?

PV = FV [PVFk,n] To get the PVFk,n (present value factor) = 1(1+r)t

6,989.25

4. Your sister borrowed P5,000 from you and promised to repay P5,550 in one year. What
interest rates are implied by the lending arrangements?

FV = PV [FVFk,n ] or FV = PV x (1 + r)t

11%

5. Mrs. Z is purchasing an automatic washing machine in an installment basis. She is given 3

monthly installments of P6,000 per month with an interest rate of 10%. What is the price that
Mrs Z is paying for the washing machine?

PVA = PMT[PVFAk,n] or PMT [1r−1r(1+r)t]

18,545.40